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Zydus Wellness is the FMCG subsidiary of the pharma giant Cadilla Healthcare. It is renowned for its brand “Sugarfree” which was the first sugar substitute brand in India and remains a market leader. In 2019 it acquired Glucon-D, Complan and Nycil from Heinz for Rs. 4,595 crores as a growth and de-risking strategy. The company has successfully integrated these brands and benefits of synergy and sharper management focus is leading to higher and more profitable growth trajectory. We have an over weight rating on the company due to strong brands in under penetrated FMCG categories, scope to expand distribution and fair valuations – 11-05-2021 Price: 2109.90 Rating: Over Weight Recommendation: Buy

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